We have done the same - our bills went down, but not by as much as 80% I think closer to 50%. But it took a fair bit of developer time, and we now have a lot of Kubernetes related problems to deal with. I guess those will smooth out over time, but I don't think anyone ever factors in this stuff when they claim great savings. Developer time ain't cheap.
On a plus note, running multiple small boxes via Kubernetes does give you a more high availability system. If one instance goes down, there will still be another one available, so it's not all negative.